The Solana Foundation launched Solana DvP on October 5, an open-source escrow program that lets financial institutions settle trades atomically on-chain with finality in seconds rather than the one- to two-day traditional markets require. Released under the MIT license, the program replaces the custom, one-off smart contracts institutions have historically commissioned for each on-chain trade with a single reusable standard.
"Atomic settlement removes counterparty risk that is inherent in traditional finance. Solana DvP program provides institutions with one open standard across the Solana ecosystem, on public infrastructure, with finality in seconds instead of days," said Catherine Gu, Head of Product, Digital Assets at the Solana Foundation.
How delivery-versus-payment actually eliminates counterparty risk
Delivery-versus-payment is a settlement principle that ensures an asset and its corresponding cash payment move simultaneously, so neither party can receive their side of a trade without the other completing theirs. Traditional markets achieve this through a multi-day chain of clearinghouses, depositories, and custodians, a process that ties up capital for one to two days while introducing principal risk at every handoff.
Solana DvP compresses that entire chain into one atomic transaction. Both legs of the trade settle together, or neither does. This removes a specific failure mode that has persisted in securities markets for decades: the risk that one counterparty delivers its asset or cash and the other side fails to reciprocate, whether through default, operational error, or fraud. The 2008 financial crisis exposed how counterparty risk could cascade through interconnected institutions precisely because settlement and clearing were not instantaneous, a structural vulnerability that atomic settlement is designed to close at the trade level rather than relying on clearinghouse guarantees after the fact.
What token standards the program actually supports
Solana DvP works with SPL Token and Token-2022, including extensions regulated issuers depend on such as permanent delegate, pausable tokens, and transfer hooks. Pausable tokens carry an emergency-stop mechanism that lets an administrator freeze transfers when required, a feature regulated issuers typically need to comply with court orders, sanctions enforcement, or fraud prevention obligations. Transfer hooks allow custom compliance logic, such as KYC or accreditation checks, to execute automatically whenever a token moves between wallets. Token-2022 is Solana's extended token program, built specifically to give institutional issuers this kind of programmable compliance layer that the original SPL Token standard did not support natively.
JPMorgan's role and what it actually contributed
JPMorgan provided the Solana Foundation with input on institutional settlement practices, helping shape requirements around deadlines, escrow isolation, and which token extensions regulated issuers would need.
"A shared, open standard for atomic delivery-versus-payment is exactly the kind of foundational infrastructure institutional market participants require to operate at scale without introducing settlement risk and counterparty exposure. We were pleased to contribute our settlement expertise," said Rhodel D'souza, Head of Markets Digital Assets at JPMorgan.
The announcement included an explicit disclaimer that JPMorgan's involvement was limited to providing input and should not be read as the bank designing, operating, or endorsing Solana DvP's performance.
Solana already has a working relationship with JPMorgan's institutional settlement infrastructure. In June 2025, Chainlink, JPMorgan's Kinexys platform, and Ondo Finance completed a cross-chain DvP pilot involving Ondo's tokenized US Treasury fund, with payment routed through Kinexys. That earlier pilot demonstrated cross-chain settlement between a permissioned bank network and a public blockchain testnet, whereas Solana DvP operates as a standalone, reusable open standard directly on Solana's public mainnet rather than requiring a bridge between two separate systems.
How this compares to other institutional DvP efforts
Solana DvP is not the first attempt at blockchain-based delivery-versus-payment, but it stands out specifically as an open standard built on public infrastructure rather than a permissioned or proprietary system. ClearToken has launched its own DvP settlement using fully permissioned, regulated applications running on the privacy-enabled Canton Network, a structurally different approach that keeps the entire settlement environment closed to vetted participants. JPMorgan's Kinexys has also tested cross-chain DvP trades bridging its own permissioned payments infrastructure with Ondo Chain's public testnet. Solana's approach differs by making the DvP program itself open-source and available on a public chain that any two counterparties can use with any settlement agent, whether a bank, custodian, or exchange, without requiring a bespoke bridge or permissioned environment.
What comes next and where privacy fits in
Solana DvP has passed external security audits and is ready for use with real funds, according to the Foundation. Future development plans include adding privacy features so trade settlements can remain confidential, addressing a concern institutional participants raised repeatedly at Consensus Hong Kong earlier this year, where robust privacy was identified as a prerequisite for broader institutional blockchain adoption.
The launch arrived the same week Payward, Kraken's parent company, partnered with Singapore Gulf Bank to bring 24/7 US dollar settlement to institutional clients across Asia and the Gulf region, part of a broader pattern of infrastructure providers racing to compress settlement timelines across both traditional and digital asset markets. The Solana Foundation said it is welcoming design partners and early participants ahead of Solana DvP's production release.
Anastasiia G
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